Thorsten Stromback

The Social Return to Apprenticeship Training

This paper draws together findings from a recent program of research to estimate the social rate of return to apprenticeship training and how the costs of training are distributed. It is estimated that 53 per cent of the costs of training an apprentice are borne by the employer, 28 per cent by the public sector and 19 per cent by the apprentice. This is in sharp contrast to the prediction of economic theory that trainees pay for general training. The social rate of return to male apprenticeships is estimated to be 12.8 per cent. This is in line with previous estimates of the social rate of return to university degrees and supports the case for policy measures to increase the level of apprenticeship training. Reforms taking place under the New Apprenticeships Systems are intended to shift the distribution of costs in line with that predicted by theory by placing a greater cost burden on apprentices for general training and increasing the specificity of training. If employers’ willingness to offer apprenticeships has been a constraint, then these changes should stimulate apprenticeship training.

Job Mobility in Australia: Theories, Evidence and Implications

Recent theoretical developments postulate that much of the mobility in the labour market arises from imperfect information. As new information is acquired, either about alternative opportunities or about the productivity of the current job, a worker may quit or be laid off. The paper reviews some of these developments and evaluates the predictions they generate against data from the Australian Mobility Survey. It is found that the tenure, age and occupational effects on mobility are broadly consistent with these predictions. The implications of these findings are discussed with reference to the longstanding concern about the flexibility of the Australian labour market.

An Analysis of Factors Contributing to Apprenticeship and Traineeship Completion

Abstract There has been a discernable focus within many Australian industries on improving the rates of completion amongst their apprentices and trainees. This paper outlines the results of a study which involved a multivariate analysis of data relating to apprenticeship and traineeship completion, derived from a database developed by the Victorian Government. The aim of the study was to investigate the relative strength of factors contributing to an individual’s likelihood to complete or not complete an apprenticeship or traineeship and the interaction between these factors. The paper also attempts to interpret the results and findings from this analysis, as well as identify and outline other areas for further research.

Quits and Lay-Offs in Swedish Manufacturing : An Econometric Analysis

A model of the quit and lay-off behaviour in Swedish manufacturing is presented. Econometric analysis is used to generate separate models for quits and lay-offs, and the way in which the results obtained can be used to explain the behaviour of total seperations over a long time period is investigated. The results obtained resolve some of the issues concerning labour mobility, but also pose new questions.